Fed Govt panel to review $200b gas, power, rail projects proposal
The Federal Government has inaugurated an inter-agency technical committee to review a proposed $200 billion Integrated Gas, Power and High-Speed Rail Project. It signals a cautious approach to one of
The Federal Government has inaugurated an inter-agency technical committee to review a proposed $200 billion Integrated Gas, Power and High-Speed Rail Project.
It signals a cautious approach to one of the most ambitious infrastructure proposals in Nigeria’s history.
Secretary to the Government of the Federation, George Akume, while inaugurating the panel in Abuja, charged members to undertake a thorough, objective and professional assessment of the proposal to guide government decision-making in the national interest.
The committee is to evaluate a submission by De-Sadel (Nig.) Limited in partnership with China Liancai Petroleum Investment Holdings Limited for a multi-phase project combining gas development, power generation and transmission, and a 4,000-kilometre high-speed rail network.
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Akume stressed that the scale and complexity of the proposal demand rigorous scrutiny.
He noted that the government must be satisfied with its technical viability, financial structure and compliance with regulatory requirements before taking any decision.
“I urge you to approach this assignment with the highest level of professionalism, objectivity and patriotism. Your recommendations will guide decisions at the highest level,” he said.
The SGF said his office had already received inputs from security, financial intelligence and regulatory agencies, particularly on the project’s financing arrangements and participating entities, underscoring the need for a coordinated review.
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The proposed project is designed to link major economic corridors, including Lagos, Abuja, Kaduna, Kano and Port Harcourt, with high-speed trains, while also boosting energy supply through integrated gas and power infrastructure.
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The government believes the initiative, if viable, could transform transportation, enhance energy security, stimulate industrial growth and strengthen national integration.
The committee, chaired by the Permanent Secretary, Political and Economic Affairs Office in the SGF’s office, comprises representatives from key ministries and agencies, including the Ministries of Transportation, Petroleum Resources, Finance, Justice and Environment.
Others are the Infrastructure Concession Regulatory Commission, Nigerian Electricity Regulatory Commission, Nigerian Communications Commission, Central Bank of Nigeria, Nigerian Financial Intelligence Unit, Economic and Financial Crimes Commission, National Intelligence Agency, Office of the National Security Adviser, Department of State Services, Debt Management Office and the Nigeria Governors’ Forum Secretariat.
Its mandate includes verifying proof of funds, assessing financial and sovereign risk exposure, reviewing the project’s financing model, and evaluating the technical capacity of the promoters and contractors.
The panel is also expected to examine rail infrastructure plans, local content provisions, regulatory compliance and potential security or reputational risks, and advise on readiness for Federal Executive Council consideration.
Managing Director of De-Sadel Consortium, Samuel Ukoh, said the project would deliver a new infrastructure backbone for Nigeria, including a nationwide rail network, gas-based power generation, fibre optic connectivity and real estate development around major stations.
He said the first phase would cover a 1,700-kilometre corridor linking Abuja, Lagos, Kano and Port Harcourt, with trains running at speeds of up to 350km per hour, reducing travel time between Lagos and Abuja to about two hours and 30 minutes.
Ukoh added that the initial phase would generate about 3,500MW of electricity to power the rail system, while the full project is projected to deliver 8,500MW.
